Global oil demand is expected to remain at the same levels as last year, OPEC said in its Monthly Oil Market Report on July 12, 2016. However, India is expected to pull up demand.

OPEC said, "In 2017, assumptions revolve around continuous economic growth, with India leading the region, coupled with steady retail prices. Within the region, India is seen to be the largest contributor to growth accounting for more than 40% of estimated growth."

During the month of May 2016, Indian oil demand recorded growth of over 0.25 tb/d, or around 7%, compared to the same period in 2015, with total consumption standing above 4 mb/d.

OPEC, or Organisation of the Petroleum Exporting Countries, is a 14-member countries group.

It said, "The current account deficit (in India) continues to run at a very modest level, whereas in 2012 and early 2013 it was around $90 billion, lower than in past times, with most of the improvement driven by lower oil prices."

OPEC said, "The risks for 2016 oil demand in Other Asia are currently skewed towards the upside as a result of possible overall economic improvements in India, the biggest oil consumer in the region, and the general economic performance of some other countries of the region."

It said, "World oil demand growth in 2016 is expected to be around 1.2 million barrels a day, broadly unchanged from the previous report to average 94.2 million barrels per day."

Demand for crude from the 14 OPEC Member Countries is expected to average 33.0 mb/d in 2017, representing a gain of 1.1 mb/d over the current year and compared to an expected increase of 1.9 mb/d this year. Thus, market conditions will help remove overall excess oil stocks in 2016, it said.